MIRA INFORM REPORT

 

 

Report Date :

03.06.2014

 

IDENTIFICATION DETAILS

 

Name :

HENKEL POLYBIT INDUSTRIES LTD

 

 

Registered Office :

Ras Al Khaimah Highway, Rafa Industrial Area, PO Box : 293, Umm Al Quwain

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

25.04.1995

 

 

Com. Reg. No.:

3246

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Subject is engaged in the production of waterproofing and corrosion-inhibiting sealants and coatings for the construction industry.

 

 

No. of Employees :

350

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

Fairly Large

 

 

Status :

Good

Payment Behaviour :

Regular

Litigation :

Clear

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – March 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

United Arab Emirates

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

UNITED ARAB EMIRATES - ECONOMIC OVERVIEW

 

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US; however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment.

Source : CIA

SUMMARY

 

Company Name                                    : HENKEL POLYBIT INDUSTRIES LTD

Country of Origin                                   : Umm Al Quwain, United Arab Emirates

Legal Form                                           : Limited Liability Company

Registration Date                                  : 25th April 1995

Commercial Registration Number           : 3246

Trade Licence Number                           : 107

Chamber Membership Number               : 253

Issued Capital                                       : UAE Dh 1,500,000

Paid up Capital                                     : UAE Dh 1,500,000

Total Workforce                                     : 350

Activities                                               : Production of waterproofing and corrosion-inhibiting sealants.

Financial Condition                                : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Raja Saker, Financial Controller

 

 

 

COMPANY NAME

 

HENKEL POLYBIT INDUSTRIES LTD

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : Ras Al Khaimah Highway

Area                 : Rafa Industrial Area

PO Box            : 293

Town                : Umm Al Quwain

Country             : United Arab Emirates

 

Telephone         : (971-6) 7670777 / 7671661

Facsimile          : (971-6) 7671669 / 7670197

Email                : polybit@emirates.net.ae / sales@henkelpolybit.com

 

Premises

 

Subject operates from a large suite of offices and a factory that are rented and located in the Industrial Area of Umm Al Quwain.

 

Please note that the subject had no knowledge of the address, Emirates Modern Industrial Area, Umm Al Quwain.

 

Branch Office (s)

 

Location                                                                                   Description

 

Al Batha Tower, Office No. 1307                                                            Rented office premises

Al Buheira Corniche

PO Box: 48539

Sharjah

Tel: (971-6) 5722282

Fax: (971-6) 5722289

 

 

KEY PRINCIPALS

 

Name                                                               Nationality                    Position

 

Mohamed Salim Al Malihy                                    Emirati                        Managing Director

 

Navin Antony                                                           -                            Commercial Manager

 

Swami Nathan Nagrajan                                -                            Finance Manager

 

Raja Saker                                                               -                            Financial Controller

 

Srinivas Shenoy                                                       -                            Operations Manager

 

Munir Kadeem                                                        -                              Human Resources Manager

 

Rems Pendo                                                         -                               Assistant Human Resources Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  :           25th April 1995

 

Legal Form      :                       Limited Liability Company

 

Commercial Reg. No.   :           3246

 

Trade Licence No.        :           107 (Expires 25/04/2015)

 

Chamber Member No.  :           253

 

Issued Capital              :           UAE Dh 1,500,000

 

Paid up Capital            :           UAE Dh 1,500,000

 

Name of Shareholder (s)                                                           Percentage

 

Mohamed Salim Al Malihy                                                            51%

 

Henkel KGaA                                                                              49%

Henkelstrasse 67

40589 Dusseldorf

Germany

Tel: (49-211) 7970

Fax: (49-211) 7984008

 

 

OPERATIONS

 

Activities:                     Engaged in the production of waterproofing and corrosion-inhibiting sealants and coatings for the             construction industry.

 

Import Countries:         Europe and the United States of America

 

Operating Trend:          Steady

 

Subject has a workforce of approximately 350 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

                                                Year Ending 31/12/12:              Year Ending 31/12/13:

 

Total Sales                                UAE Dh 403,500,000                 UAE Dh 407,000,000

 

Local sources consider subject’s financial condition to be Good.

 

The above figures were provided by Mr Raja Saker, Financial Controller

 

 

BANKERS

 

Dubai Islamic Bank

PO Box: 1080

Dubai

Tel: (971-4) 2953000

Fax: (971-4) 2954111

 

HSBC Bank Middle East

Deira Souk Branch

PO Box: 66

Dubai

Tel: (971-4) 2535000

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                                February 2007                                       November 2011

Credit amount                                       150,000                                     250,000

Amount overdue                                    0                                                          0

Payment terms                                      60 days                                                            90 days

Payment Method                                   Letters of Credit                                                Letters of Credit

Paying record                                       No Complaints                                      No Complaints

Currency                                               US Dollars                                            Euros

 

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.59.14

UK Pound

1

Rs.99.02

Euro

1

Rs.80.63

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

NNA

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

--

NB

New Business

 

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.